Category: Macroeconomics

Explain the concept of the Balance of Payments (BoP), and how it relates to the foreign exchange (forex) market under a floating rate and a so-called fixed exchange rate. How does the latter regime cause problems for the Chinese economy? The balance of payment indicates all the transactions of a given country with the rest…

Brief summary of article Global downturn aftershocks are to blame for the economic situation in the USA as far as economic growth and employment is concerned. The shocks have culminated into higher unemployment rates for a long period. The government is proposing the use of fiscal policies to create employment to those individuals who are…

What, if anything, does the Employment/Population (E/P) profile for the United States from 2007 to 2012 tell you about short-run economic growth over that period? The rise in the unemployment rate in the United States after the economic recession of 2007-2009 was severe and unprecedented. During this period, the unemployment rate rose from a low…

Explain how a basic analysis of the money market underpins the derivation of the LM curve The LM curve is derived from the money market equilibrium. It shows the range of values of interest rates, I, which when combined with the outputs, Y, give an equilibrium money market. The interest rate, I, can be interpreted…

For the benefit of the incoming administration, I submit this report to document, analyze, and interpret the macroeconomic policy decisions I made as the chief economic policy advisor of Econland. The purpose of this document is to further our national prosperity by deepening our understanding of the relationship between macroeconomic policies and their consequences for…

Introduction: Concerning the IT Industry: The Things One Needs to Know It goes without saying that informational technologies, or IT, have become one of the leading industries in the world over the past few years. The given report focuses on the IT industry, namely, its role in the modern world, the most recent developments and…

Table of Contents Introduction Supply and Demand The Law of Supply and Demand Market Equilibrium Monopoly Oligopoly Competition Reference Introduction In this essay, I want to highlight the main concepts from Chapter 4 of macroeconomic principles and tell you what they mean. I believe the basic concepts are supply and demand, market equilibrium, monopoly, oligopoly,…

Lately the crude oil prices have been volatile, reaching an all time high at over 96 dollars a barrel in November 2007. This can be perceived to be brought about by the war on terror. Due to this high prices and pressures from other factors such as environmental issues; energy sustainability is a currently highly…

In the process of learning about macroeconomic trends, one obtains an opportunity to expand their knowledge not only about the particular factors and their outcomes for the economy but also integrate that knowledge with decision making. In particular, one of the most interesting topics encountered in Greenlaw and Taylors (2014) book was the account of…

Table of Contents Introduction Current situation Unemployment Long term unemployment Economic stagnation Inflation Types of inflation Current situation vs. the great depression of the 1930s Conclusion References Introduction The current financial crisis in America is partly being blamed on poor economic policies enacted and implemented by the Bush administration. Though the policies have in part…